Microsoft Busts a Move

Don't look now, but Microsoft's (MSFT - commentary - Cramer's Take) positively giddy here. This stock is moving like the Mister Softee of old. It is no longer creeping in 17-cent increments. It's rolling. Today's gain is occurring in the toughest environment imaginable; it has been able to break free from the key $30 strike!

Microsoft, in retrospect, was pretty darned obvious. Vista's about to ship. Xbox is doing well. What was the bear case here?

Earlier today I heard someone say that Microsoft was no longer a growth stock. Last I looked, 12% growth for a company this size isn't that bad.

While the multiple is now stretched to the point where it is almost twice the growth rate -- that's a danger zone -- I believe the estimates are too low and you could see nice guide-ups all year.

That argues for Microsoft to be bought, not sold.

Right stock for the moment, certainly right into the launch of Vista.

At the time of publication, Cramer had no positions in any of the stocks mentioned in this post.

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